What Are My Responsibilities as a Landlord?

Being a landlord in Israel comes with important responsibilities — both legal and practical. Whether you’re renting out a residential apartment for the first time or managing multiple properties, it’s essential to understand your obligations, protect your rights, and create a smooth experience for your tenants. This guide outlines the key rules you need to know about rental conditions, maintenance, lease agreements, taxes, and more.

What condition must the apartment be in?

One of your basic responsibilities as a landlord is to provide a property that is “suitable for residence“ — meaning it must be safe, clean, and functional, with working electrical and plumbing systems, basic sanitary facilities, proper ventilation, and protection from weather and hazards. Structural issues or safety violations, such as exposed wires, broken windows, or mold, may give the tenant the right to demand repairs or terminate the lease early. If the property is unfit for living from the start, the contract may be legally void.

Who is responsible for maintenance and repairs?

Usually, as the landlord, you are responsible for maintenance and repairs related to the apartment’s structure, essential systems (such as electricity and plumbing), and natural wear and tear. Tenants are typically responsible for any damage they cause, as well as minor upkeep like replacing light bulbs. Urgent issues must be addressed promptly; if you delay, the tenant may notify you in writing, carry out the repair, and deduct the cost from the rent. You may not enter the apartment without the tenant’s consent—except in emergencies—and all non-urgent repairs must be coordinated in advance.

Can I ask for a security deposit?

To cover potential damages, unpaid rent, or other breaches of contract, most landlords request a financial guarantee or security deposit — such as a security check (shek bitachon), bank guarantee (arevut bankait), cash deposit (pikadon mezuman), guarantor (arev), promissory note (shtar chov), or a combination of these.

Under Israeli Fair Rent Law, for standard residential leases, the total security deposit may not exceed the lower of one-third of the total rent for the lease period or three months’ rent. This limit is mandatory and cannot be overridden, even with a written agreement. At the end of the lease, the deposit must be returned promptly. If you withhold or use the funds without valid justification, the tenant may take legal action.

Are there rules about renewing or ending the lease?

Yes — typically, if either you or the tenant does not wish to renew the lease, you must give proper notice — usually 90 days, unless the contract states otherwise.

A lease may only be terminated mid-term if one of the parties breaches the agreement or there is a serious legal reason, such as the apartment being declared unsafe, or if the lease includes a specific termination clause. Importantly, you cannot force a tenant to leave without a court order, even if they fall behind on rent. It is illegal to try to evict a tenant by changing the locks, cutting off utilities, or using pressure tactics.

Do I need insurance?

You’re not legally required to take out insurance, but it’s strongly recommended. You should consider taking out homeowner’s insurance (bituach dira) that covers the property’s structure, as well as third-party liability insurance (tzad gimmel), in case someone is injured in the apartment due to faulty infrastructure. Some landlords also include a clause in the lease requiring the tenant to take out contents insurance for their personal belongings.

Do I need to report or pay tax on my rental income?

Yes. All rental income must be reported to the Israel Tax Authority (Reshut HaMisim). However, there are different tax options depending on how much you earn and how the property is used:

• Full exemption: If you rent out a residential apartment for less than NIS 5,654 per month (2025), you can file for a full tax exemption.
• 10% flat tax: You can choose to pay 10% tax on your rental income with no deductions.
• Regular income tax: Or you can report it as part of your overall income and deduct related expenses.

Short-term or vacation rentals are taxed differently and usually don’t qualify for exemptions.

🎧 Listen to our podcast episode on reporting rental income in Israel.

Do I need to provide a written lease agreement?

While you’re not legally required to provide a written rental contract, it’s strongly recommended. The law recognizes verbal agreements, but without a signed contract it’s difficult to prove the agreed-upon terms.

All tenant and landlord responsibilities, rights, and procedures should be clearly detailed to protect the rights of both parties and avoid misunderstandings. This includes the rental period, rent amount, payment schedule, security or guarantee details, who covers expenses (such as Arnona, Va’ad Bayit, maintenance fees, and utilities), how either party can end the lease, and more.